Concentrix refinances term loan for $2.1 billion due 2026, ups revolver

By Wendy Van Sickle

Columbus, Ohio, Dec. 30 – Concentrix Corp. amended its credit agreement on Dec. 27 in connection with closing of its acquisition of ProKarma Holdings Inc., according to an 8-K filing with the Securities and Exchange Commission.

The amendment refinances the existing term loan with a new, fully advanced $2.1 billion term loan and increases the revolving commitment to $1 billion. It also extends the maturity date to Dec. 27, 2026, replaces Libor with SOFR as the primary reference rate used to calculate interest and alters the unused commitment fee.

Borrowings now bear interest at SOFR plus 125 basis points to 200 bps, depending on leverage ratio, with the commitment fee ranging form 22.5 bps to 30 bps.

The proceeds of the new term loan were used to repay the existing term loan and finance the purchase of PK, a design engineering company, from funds managed by Carlyle.

Starting Aug. 31, 2022, the outstanding principal of the term loan is payable in quarterly installments of $26.25 million with the unpaid balance due in full on the maturity date.

The credit agreement is dated Oct. 16, 2020 with Bank of America, NA as administrative agent.

Concentrix is a provider of customer experience solutions and technology with headquarters in Fremont, Calif.

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